VLUE - Index
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VanEck MSCI International Value ETF VLUE

Fund description: VLUE gives investors a diversified portfolio of 250 international developed market large- and mid-cap companies, with high value scores as calculated by MSCI at each rebalance. VLUE aims to provide investment returns before fees and other costs which track the performance of the Index.

Index description: The MSCI World ex Australia Enhanced Value Top 250 Select Index measures the performance of 250 international large- and mid-cap companies selected from the MSCI World ex Australia Index with high value scores relative to their peers at rebalance. Exclusions apply for weapons and tobacco.

Management style: Replication

Country of domicile: Australia

 as at 04-Jul-22

  • Exchange

    ASX
  • ASX code

    VLUE
  • Bloomberg index code

    NA736924
  • Index provider

    MSCI Inc.
  • NAV1

    $20.59
  • Units outstanding1

    8,300,106
  • Net assets1

    $170.9M
  • Number of holdings1

    250
  • Inception date2

    08-Mar-21
  • ASX commencement

    10-Mar-21
1As of the close of the previous trading day.
2The date the ETF was seeded prior to quotation on ASX.

as at 04-Jul-22

The NAV is generally calculated daily after all markets are closed for that day based on the closing price of the securities on the relevant foreign stock exchange. The NAV is then converted to AUD based on the relevant London WM Reuters 4pm exchange rate. This means, due to Australia’s time zone, that the NAV will generally not be updated until around 1pm next business day.
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Key points

Index name
MSCI World ex Australia Enhanced Value Top 250 Select Index


Overview
The Index measures the performance of 250 international developed market large- and mid-cap companies selected from the MSCI World ex Australia Index, with high value scores relative to their industry peers as calculated by MSCI at each rebalance. Exclusions apply for weapons and tobacco.

Summary of Index calculation methodology
A five step process is followed to determine the Index:

1. Eligible universe
The eligible universe is all the companies in the MSCI World ex Australia Index (“Parent Index”) which is a traditional free-float adjusted market capitalisation (“FMC”) weighted index.

2. Socially responsible and ethical business activity screen
Exclusion screens are applied to companies with the following business activities:

• Nuclear weapons
• Controversial weapons
• Conventional weapons
• Tobacco

3. Value
MSCI calculates a value score for each remaining company in the universe based on the following fundamental accounting variables:

a) price-to-book value;
b) price-to-forward earnings; and
c) enterprise value-to-cash flow from operations.

Companies are ranked by value score and a fixed number required to cover 30% of the FMC of the Parent Index are selected, with the aim of attaining a high exposure to the value factor, while maintaining sufficient market capitalisation and number of companies covered. At the date of this PDS, 350 companies are included.
Constituents are then weighted with a tilt to value as follows:

          Value weight = Value score x FMC weight in the Parent Index

4. Select top 250
The top 250 companies by value weight are then selected for the Index.

5. Weighting
The weights of the final 250 constituents are then:

(i) adjusted proportionately based on their value weight in step 3; and
(ii) normalised so that sectors in the Index represent the same weight as the Parent Index.


Rebalances

The Index is reviewed and rebalanced on a semi-annual basis, usually as of the close of the last business day of May and November. The value scores are recalculated at the end of April and October and used for May and November rebalances respectively.

For full details of the methodology, click here.

Index provider
MSCI Inc (“MSCI”). MSCI is not a related body corporate of VanEck.

VLUE is indexed to a MSCI index. VLUE is not sponsored, endorsed or promoted by MSCI, and MSCI bears no liability with respect to VLUE or the MSCI World ex Australia Enhanced Value Top 250 Select Index. The PDS contains a more detailed description of the limited relationship MSCI has with VanEck and VLUE.

Index profile  

  • Bloomberg index code

    NA736924
  • Base date

    31-May-12
  • Rebalance frequency

    Quarterly

Top ten index constituents (%) Download all daily index constituents as at 31-May-22

Total constituents: 248
Constituent name
TIcker
Weightings (%)
INTEL CORP
INTC US
3.70
AT&T INC
T US
2.80
BROADCOM INC
AVGO US
2.30
TOYOTA MOTOR CORP
7203 JP
2.21
MICRON TECHNOLOGY INC
MU US
2.19
INTL BUSINESS MACHINES CORP
IBM US
2.11
CISCO SYSTEMS INC
CSCO US
1.98
PFIZER INC
PFE US
1.73
ABBVIE INC
ABBV US
1.72
SHELL PLC-NEW
SHEL LN
1.67
Top ten total (%) 22.41
These are not recommendations to buy or to sell any security. Securities and holdings may vary.

Index country weightings (%) as of 31-May-22

  • Country

    Weightings (%)
  • United States

    45.6
  • Japan

    24.5
  • France

    6.9
  • United Kingdom

    6.5
  • Germany

    3.8
  • Netherlands

    3.1
  • Spain

    1.8
  • Canada

    1.6
  • Hong Kong

    1.2
  • Italy

    0.8
  • South Africa

    0.7
  • Australia

    0.7
  • Denmark

    0.5
  • Finland

    0.5
  • Luxembourg

    0.5
  • Switzerland

    0.4
  • Sweden

    0.3
  • Ireland

    0.3
  • Israel

    0.2
  • Belgium

    0.1
  • Total

    100.0

Index sector weightings (%) as at 31-May-22

  • Sector

    Weightings (%)
  • Semiconductors & Semiconductor Equipment

    8.9
  • Commercial Banks

    8.1
  • Automobiles

    7.7
  • Pharmaceuticals

    6.7
  • Diversified Telecommunication Services

    5.5
  • IT Services

    5.2
  • Trading Companies & Distributors

    4.7
  • Oil, Gas & Consumable Fuels

    4.1
  • Health Care Providers & Services

    4.0
  • Computers & Peripherals

    4.0
  • Metals & Mining

    3.6
  • Food & Staples Retailing

    3.3
  • Biotechnology

    3.0
  • Communications Equipment

    3.0
  • Food Products

    3.0
  • Electronic Equipment, Instruments & Components

    2.7
  • Insurance

    2.5
  • Real Estate Management & Development

    2.4
  • Wireless Telecommunication Services

    2.2
  • Media

    1.6
  • Electric Utilities

    1.4
  • Household Durables

    1.3
  • Auto Components

    1.3
  • Industrial Conglomerates

    1.2
  • Multi-Utilities

    1.1
  • Building Products

    0.9
  • Beverages

    0.8
  • Capital Markets

    0.7
  • Construction & Engineering

    0.7
  • Marine

    0.7
  • Software

    0.7
  • Chemicals

    0.6
  • Electrical Equipment

    0.5
  • Diversified Financial Services

    0.4
  • Machinery

    0.4
  • Road & Rail

    0.4
  • Construction Materials

    0.3
  • Mortgage Real Estate Investment

    0.1
  • Consumer Finance

    0.1
  • Paper & Forest Products

    0.1
  • Specialty Retail

    0.1
  • Total

    100.0